Who cares about Government regulation, what matters is the adoption of masses since Bitcoin is already fair as it is and does not need the approval of the government to operate.
But mass adoption can only be accomplished via government regulation, in my opinion.
At this point BTC is a store of value similar to gold. You can hold it in anonymity and it is very likely to keep having value.
But to acquire mass adoption, BTC would have to be used as a currency. And for it to be a currency, it needs government approval. Goods and services paid in BTC, which generates demand, which generates value.
In my ideal world, working citizens would get paid in BTC. Not in a failing currency. I see countries legalizing BTC but I haven't seen any of them paying citizens their wages in BTC. They continue to pay them in failing currencies, until their savings are reduced to 0 and they no longer have power to buy any BTC.
I'm European, I have savings and a masters degree. But I get paid in a currency that gets devalued by crooked bankers. The cost of living rises rapidly until the entire society is bankrupt. Which is when I expect governments to step in and install some kind of fascism.
The 20 year mortgage plan for a property is in a debased currency and nobody getting paid in a failing currency has a guarantee that they can make it. In fact it is unlikely that they will. Inflation just has to rise a few more years.
You'd have to have a whole lot of BTC to compensate for a failing currency.
But how can BTC adoption grow while citizens get paid in crashing currencies, default on all their payments and have 0 savings to collect BTC?